5 The following is an extract of the Statement of Profit or Loss and Other Comprehensive Income for the year ended 31 December 2019 and the draft Statement of Financial Position of Dezek Bhd as at 31 December 2018 and 2019. Dezek Bhd Statement of Profit or Loss and Other Comprehensive Income (extract) for the year ended 31 December 2019 Revenues Cost of sales Other operating incomes Administrative expenses Dezek Bhd Statement of Financial Position as at 31 December RM'000 144,000 57,000 3,740 59,400 0549 3343 Home Insert Draw View Help BIU DA A Dezek Bhd *** Statement of Financial Position as at 31 December 2018 2019 RM'000 RM'000 Non-current assets Property, plant and equipment 114,000 164,000 Long term investment 26,100 37,200 Short term investment 2,700 3,400 Current assets Inventories Accounts receivable Tax recoverable Cash at bank 13,000 10,600 93,000 85,400 2,400 130,000 114,000 378,800 417,000 Financed by Share capital Revaluation reserve Retained profits Non-current liabilities 8% bank loan Current liabilities 180,000 250,000 24,000 41,000 57,600 30,000 27,600 Accounts payable Bank overdraft Interest payable Tax payable W 57,600 56,200 66,400 2,000 1,600 1,800 378,800 417,000 Home Insert Draw View V BIUA A ... 1. The adminitrative expenses included the following: RM 10,000,000 1,300,000 2,600,000 Income tax expense Interest expense Depreciation on property, plant and equipment 2. Short term investment is qualify as cash and cash equivalent. 3. A motor van with a carrying amount of RM 400,000 was sold and there was revaluation on land during the year. 4. Other operating income include gain on sale of motor van of RM 54,000 and dividend income of RM 3,200,000. 5. Dividend paid during the year was RM 4,740,000. Required: a Prepare a Statement of Cash Flows for Dezek Bhd for the year ended 31 December 2019 using the indirect method in accordance with MFRS107 Statement of Cash Flows. (16 marks) Discuss the importance of preparing Statement of Cash Flows to Dezek Bhd